Dow Rally Just Might Have Legs

3/6/2013 10:55AM

Tuesday's record rally pushed the blue-chip average over the proverbial hump, leaving many investors wondering how much room the Dow has left to run. Steven Russolillo reports on Markets Hub. Photo: Getty Images.

This transcript has been automatically generated and may not be 100% accurate.

... I ... still ... thirty seven thirty eight points this morning ... tacking on even more gains in yesterday's record setting game the big rally ... seen on the front page of The Wall Street Journal Dow reached a record of one page everyone in the big story ... in the markets today ... if I were talking about it the Markets Hub ... but you know in Dallas right now where will it be in three months six months of Warner year should he stay in should you sell ... history has a couple lessons for us ... and my compatriot Steve Russolillo talk about this one ... by Steve ... high heat were not the market the pose the question is what should I sell ... I ... had the SCC put that non Russian rate ... of all historically ... um maybe you should just for the short term and then wait for the week for a few months and then get back to them and that's what history says so if we look to the Ned Brightbill in the morning market gives column a good idea to put that one so yes I mean that that that the day after the Dow hits a new high for the very first time we looked at how the market performs three months six months and twelve months after after ... an on a three month time horizon the market session down a little bit down about less than one percent though shows that there's a little bit of turbulence in the near term ... six months the Dow's of one percent so again not much of an orange one way or the other ... twelve months later the Dow average is an eight percent keen ... on after it initially it's a record high so yesterday that Dell initially hit the record high so if history repeats right ... Italy up eight percent and now we get this data from our markets Krueger and a one although it back for a gallon back to eighteen ninety six of their warranties or seen other occurrences in history with the fifteen because that that that was initially hit a new high so ... now there's a caviar with the stand and it really has the early zero is the isthe parasol the last time the Dow hit a new high write what initially hit a new high was October two thousand sick and so a lot people know that the previous peak was October nine two thousandseven ... but that though initially hit that he got soaked and six a with a rally for another year in a rally for nineteen percent so it ... sounds pretty good for a while just a few days later he keeps on October nine ... two thousandseven ... then you have the financial crisis then you have the big tumble afterwards so ... that the cabbie I Here's yet that data looks good By Inti just extrapolate a few days later ... it's not so hard and will always with historical data this is the issue this circumstances are not exactly the same circumstances now here in the U S and globally not exactly the same as there were two thousandseven ... in two thousand ... you know as time scares me is the last two times is happening ... you had the tumbles and you look at the other ... the Longshore last fifteen years has been right ... these CDOs to BP continues to tumble ... that my parents into the year two thousand and two thousand ... Jackson repeat the dotcom boom and bust ... and then the housing boom and bust so ... then I mean what you can't know you can help in tackling the lobby for the use that as of this so I will say in a lot of our stores leather covers today so that ... you know some people are starting to get a little excited that maybe the euphoria isn't quite the level that it was that in two thousand and two thousandseven so ... back to the difference ... good thing ... probably a good thing for them write to the end I steamers look think you're in mind